Statutory Gambling Levy

Jim Shannon Excerpts

Tuesday 7th June 2022 Westminster Hall

[Jim Shannon (Strangford) (DUP)]

I will keep to your timeframe, Mr Betts. I congratulate my hon. Friend—she certainly is my hon. Friend—the Member for Swansea East (Carolyn Harris) on securing the debate. There are very few debates that she secures that I am not here to support, but this one is of particular interest to me, and I will explain why. I should also declare an interest as a member of the all-party parliamentary group for gambling related harm.

There have been some incredible speeches from Opposition Members, and also from the right hon. Member for Chingford and Woodford Green (Sir Iain Duncan Smith), who put forward in a very succinct and helpful way what is very much my own line of thought. This is not about being anti-gambling; it is about how we can use the levy in a way that addresses the issue of addiction, while hopefully giving some of the money to the NHS, as the hon. Member for Swansea East said.

It is clear that gambling addiction is a significant public health issue: it ruins families, marriages and communities, and in extreme circumstances it can lead to suicide. The hon. Member for Sheffield Central (Paul Blomfield) referred to one of his constituents who had been affected, and there are families in the Public Gallery today who have also been affected. I am ever mindful of Peter and Sadie Keogh from County Fermanagh—they are not my constituents, but they came to my attention some time ago because of the issue of addiction and gambling. I have examples from my constituency of people who have been addicted to gambling, and although it did not lead to suicide, they found themselves under incredible pressure that affected their families. Gambling can lead to financial pressures in the house, arguments and ultimately the break-up of marriages.

Peter and Sadie Keogh lost their son Lewis. Their story is mirrored by the stories of those who are here today and by the stories of addiction told by others. Lewis found himself gambling and did not realise how deep the problem was getting. His mum and dad were probably not aware of everything that was happening, but they were when Lewis unfortunately took his own life. That came about because his debts had overcome him. His ability to respond and to discuss matters in their totality with his parents and friends led him to think there was only one way out. I am here today for Lewis, Peter and Sadie Keogh from Fermanagh in Northern Ireland, and for all the others in Northern Ireland who have succumbed to suicide because of gambling addiction.

The harms of gambling addiction are an indisputable fact, and yet we have limited protections in place to support the most vulnerable in society. Chronic under-investment in the gambling treatment system has led to a situation where treatment is unregulated and lacks consistency, transparency and accountability. Between only 2% and 3% of people with gambling problems enter the treatment system, and nearly all of them enter through self-referral—we need to look at that. The gambling industry is hugely well resourced, and it could and should be doing so much more to identify and protect vulnerable people.

A 1% smart levy on the industry’s revenues would provide £130 million—an increase of over £100 million on what we currently receive. What the hon. Member for Swansea East and most of us here today are saying is that that is not a big amount for the sector, but it will make a big difference. If the DCMS introduces a smart statutory levy on the gambling industry—that is already within the power of the Secretary of State—it can take control of the funding for research, education and, ultimately, treatment back from the bookies, set up a long-term funding commitment, allow clinicians and academics to commit to projects and programmes properly and safeguard the independence of research and education to ensure that the gambling industry can no longer mark its own homework. If such a levy were based on the “polluter pays” principle, it would not punish the bingo halls and the high street arcades that support local high street communities across the UK, but instead would force gambling operators who are all too often based offshore to pay for the harm that they undoubtedly fuel.

Compared with the other regions of the United Kingdom, the level of participation in gambling in Northern Ireland is higher. In England, the rate is 62%, and in Wales, it is 61.3%, but the rate in Northern Ireland, which is similar to the most recent recorded participation rate in Scotland, is 67.8%. Compared with the other regions of the United Kingdom, the proportion of the population in Northern Ireland found to be problem gamblers is also higher, at 2.3%. In Wales, it is 1.1%, in Scotland, it is 0.7%, and in England, it is 0.5%. We have a serious gambling problem in Northern Ireland, and our numbers outstrip those in the other three countries put together.

I always look forward to seeing the Minister, who is always incredibly helpful. He looks to help and reassure. I ask him what discussions he has had with his counterpart in Northern Ireland about gambling addiction and the fact that the rate in Northern Ireland are higher than in the rest of the United Kingdom put together. What steps can be taken to assist, help or advise the Northern Ireland Assembly Ministers?

The report on participation in gambling identified the four most common types of gambling in Northern Ireland as the national lottery; scratchcards or instant win; betting on an event or sport; and other lotteries, raffles and ballots. Sometimes, when I am in the garages back home getting petrol or diesel, I see people buying scratchcards, and I sometimes feel quite moved. That scratchcard is their hope of getting money to help with whatever it may be—to pay the bills—but that scratchcard is a gambler’s chance. It is very unusual for it to lead to any income.

Some types of gambling cannot be regulated in a meaningful way, but some can, and I believe that the levy is an essential tool in regulation. I encourage the Government and the Minister to see where the problem lies and to tackle it at the root. The purpose of a gambling statutory levy is to generate moneys to help those with addictions and to assist their families, and to help the NHS. It is right that the gambling sector should pay more. In my opinion, and that of many others, the publication of a White Paper cannot come soon enough. I urge the Minister and his colleagues in Government to take the opportunity to deliver meaningful change where the industry quite clearly has not yet done so.

[Mr Clive Betts (in the Chair)]

We move on to the Front Bench spokespeople, who have 10 minutes each. After that, there will be a short time for the mover to wind up at the end. I call Ronnie Cowan for the SNP.